ASSISTANT PROVIDENT FUND COMMISSIONER, CC-I, EMPLOYEES PROVIDENT FUND ORGANISATION Vs. BISWAMATA HEEMGHAR PRIVATE LIMITED

JUDGEMENT

(1.) The Present mandamus appeal is directed against an order passed by the learned Single Judge, in Writ Petition No. 15480 (W) 2013. By the said order learned Single Judge quashed a notice dated April, 22, 2013 issued by the Respondent No. 2 in the Writ Petition, i.e., the Appellant No. 1 in this appeal upon the Respondent No.1/company in this appeal.

(2.) The facts leading to the present litigations, in short, are as follows:-

(3.) One Bishwamata Cold Storage Pvt Ltd had been running a business of Cold Storage. The company availed of loans of huge amount from West Bengal Financial Corporation by creating mortgage over the land, plants and machineries and other assets, by deposit of title deeds. Subsequently, the said company failed to repay those loans for which, the lender, i.e., the West Bengal Financial Corporation exercised their legal rights for the recovery of loan amount and during such process took over the possession of the mortgaged land and other hypothecated assets of the borrower company. Subsequently, the financial corporation put the aforesaid immovable and movable properties, in auction according, to law and in that auction M/s. Biswamata Heemghar Pvt Ltd, i.e., the Respondent No. 1 in this appeal purchased those properties, put in auction, and became the owner thereof. Now, it was the view of the Appellant that the purchase of the properties in question by the present Respondent No. 1 from the West Bengal Financial Corporation was a sham transaction and the Respondent No. 1/company has been continuing the business of Biswamata Cold Storage Pvt Ltd with all its rights and statutory liabilities. The Appellant authority, therefore, issued several notices upon the Respondent No. 1/company and thereby claimed the payment of all the statutory dues of the previous company under the provisions in The Employees' Provident Funds and Miscellaneous provisions Act, 1952.